The Mississippi Department of Revenue has introduced a checklist for individuals interested in establishing a medical marijuana dispensary in the state, following the enactment of the Mississippi Medical Cannabis Act in February 2022. This checklist was developed in collaboration with the Mississippi State Department of Health (MSDH) and will facilitate an electronic application process. According to the legislation, applications for the Mississippi Cannabis Dispensary License will be available online by July 2022.
Once an application is submitted, the MDOR will process it within 30 days, contingent upon the receipt of a completed form alongside all necessary documentation. The checklist includes critical items such as the legal business name and physical address, proof of registration with the Secretary of State’s office, Sales Tax Permit number, a land survey confirming the business’s compliance with the 1,000-foot distance requirement from schools, churches, or childcare facilities, and a list of all stakeholders with a 10% or greater economic interest. Applicants must check off all relevant items on the checklist.
Licensing Fees and Sales Tax Requirements
The initial licensing fee for a dispensary is set at $40,000, which includes a $15,000 non-refundable application fee and a $25,000 annual license fee. Additionally, the newly passed legislation mandates the collection of sales tax on medical marijuana products, necessitating that dispensary owners register for a Sales Tax account and apply for a permit through the Taxpayer Access Portal (TAP).
Applicants are also required to provide an operational plan and a security plan. Registration with the Mississippi Secretary of State’s Office is a prerequisite for proceeding with the application.
It is important for prospective dispensary owners to be aware that not all cities and counties have opted into the medical marijuana program, thus prohibiting dispensaries or growers within their borders. A detailed map and an exhaustive list of the cities and counties opting out can provide clarity on this matter.
Public Consultation and Regulatory Updates
A public comment period aimed at addressing necessary modifications to Dispensary Regulations occurred in May. Following this, several adjustments were made, including clarifications and additions based on community feedback. Key changes discussed included:
- Clarification on “Economic Interest”
- Provisions for specific discounts and branded merchandise
- Application procedures for facilities still under construction
- Measurement distances in relation to schools, churches, and childcare facilities
- Maintenance allowances for individual surveillance cameras
- Advertising and marketing protocols
- Requirements for retail sale areas
- Management agreement issues
- Reporting mandates to the Prescription Monitoring Program
- Training stipulations for the seed-to-sale system
- Guidelines for cannabis transportation
For further information on licensing to open a medical marijuana dispensary, visit the Mississippi Department of Revenue.
